The Public Utilities Regulatory Commission (PURC) has described Ghana National Gas Company (GNGC) as a strategic asset to Ghana’s power and energy sector, stressing the need for continued investment to sustain its operations and support economic growth.

Speaking during an industrial tour of Ghana Gas by PURC commissioners and management, the Executive Secretary of the Commission, Dr Shafic Suleman, said the relationship between the two institutions is a formal economic and technical regulatory one.

He explained that PURC, as the independent economic regulator, sets and approves natural gas transmission tariffs and pricing structures for Ghana Gas to ensure the company remains financially viable while protecting consumers.

Dr Suleman said the visit was important in helping the regulator understand Ghana Gas’ operations, challenges and investment needs firsthand.

“It is important for stakeholders to visit the Ghana Gas operational site to gain firsthand information about their production, challenges, and the types of investments needed to make the company stable for the benefit of Ghanaians. As the commercial or economic regulator of the sector, it is essential to observe their operations and understand the investments required to sustain the sector,” he said.

He said PURC was impressed with Ghana Gas’ performance and the role it continues to play in supporting power stability.

“The high quality of service and power stability come with high costs. Ghana Gas, as a value chain player, is ensuring they have all the necessary investments to continue providing infrastructure and services. In fact, Ghana Gas still needs further investments,” he said.

Dr Suleman said PURC and the government were considering further investment in the company.

He also commended Ghana Gas for its financial performance, saying its reported profits reflected strong performance over the past year and a half.

“The profits they have declared reflect their performance over the past one and a half years, indicating they have performed very well, and they deserve credit for that.”

He encouraged the company, under its current Chief Executive Officer, Judith Adjobah Blay, to maintain its stability and profitability while expanding its operations.

“Looking ahead, we also encourage them to expand and to cover all the key sectors of the economy. If they continue investing, it will likely reduce the cost of utility provision,” he said.

Ghana Gas plans expansion and pipeline to Tema

For Ghana Gas, the focus following its reported strong financial performance is expansion and reinvestment.

Chief Executive Officer Judith Adjobah Blay said the company intends to use its profits to improve operational efficiency and increase the availability of gas for power generation and industrial use.

She said Ghana Gas was moving beyond profitability towards expanding its infrastructure and capacity.

“That is the next phase — beyond profit, there is expansion and reinvestment into Ghana Gas,” she said.

One of the major projects being considered is a pipeline connecting Takoradi to Tema.

The proposed pipeline would transport gas from Atuabo through the Central and Eastern regions to the industrial enclave in Tema, extending gas supply beyond the Western Region.

The company expects the project to support industrialisation along the route.

Richard Kirk-Mensah, Head of Corporate Communications at Ghana National Gas, said PURC’s visit was aimed at giving the regulator a better understanding of the company’s operations and expansion plans.

He said seeing the facilities and ongoing projects firsthand would provide the regulator with a clearer picture than presentations and discussions alone.

“Their visit aims to give them insight into Ghana Gas’s operations, particularly the expansion projects at their sites. Rather than just presenting slides and discussing verbally, allowing them to see the facilities and the ongoing work firsthand will give them a better understanding of the company's plans and activities,” he said.